Strengthening Sino-Russian Ties

It discusses ways to increase investments in Russia's economy overall. Efforts so far proved successful. Opportunities in a resource rich country like Russia are huge.

According to Putin, "many serious investors and our country’s partners of long standing continue increasing their investment in various sectors of the Russian economy."

At the same time, "(e)xternal limitations have an adverse effect not only on Russia’s economy, but also on that of the whole world," he said.

"They only add to our determination to meet our targets in the priority areas of our country's development, which include economic growth, upgrading the industry and infrastructure, the creation of new jobs and improvement of the quality of life of Russia's citizens."

Conditions are more complicated than earlier, Putin explained. Russia's actions are based on responsible, balanced macroeconomic and budget policy, he added.

"The events of this year have convinced us yet again that the choice we made many years ago is the right one," he stressed.

Lisssovolik sees it "likely to be reinforced in the coming years." He believes "Russia will look to bolster ties with…other Asian countries, including South Korea and Japan."

Except for China, Connolly says "(b)arely any significant foreign investment comes from Asia at the moment so you’re starting from an extremely low base."

"It’s not even in the double digits as a percentage of the total FDI in Russia."

"So to talk about switching or opening up to investment from other countries is all well and good and from a Russian perspective it's good to diversify sources of capital."

"But it's a very big job and would take place over decades, not just years. To raise the source of capital to supplant the amount of western capital flowing into Russia would be a serious job indeed."

According to Lissovolik, "(w)e're seeing a more active use of currencies from Asia in Russia and even there are low base effects and the absolute amounts are relatively low, the growth rates are significant."

"So this is a this trend that if it continues will make Asia a much greater part of the Russian economy."

Connolly adds: "You’d be talking of using rubles or yuan for trade between those countries."

If Washington and EU partners intend greater Sino/Russian unity, "one (nation) a natural resource…superpower and the other a fixed capital/labor output…powerhouse, in the process marginalizing the dollar and encouraging Ruble and Renminbi bilateral trade, then things are surely 'going according to plan.' "

Strong Moscow/Beijing unity against Western imperialism is their best defense. Western nations have a tiger by the tail. Ukraine is a hotbed of instability, extremism and violence.

At the same time, European countries are "scrambling to find alternative sources of energy should Gazprom pull the plug on natgas exports…"